China: Parameters of State Interaction with Small and Medium-sized Businesses

Small and medium businesses in China are actively involved in the modernization of the state and the creation of “productive forces of a new quality.” Their economic and innovative potential is rapidly increasing, their spheres of activity are expanding, and the number of enterprises is growing. The article examines the process of forming and applying standards for classifying small and medium enterprises (SMEs) in quantitative and qualitative terms. The contribution of micro, small and medium entrepreneurship to the socio-economic and innovative development of the country is shown. Determining the status of a small and medium business entity is directly related to the practice of taxation and financing of market entities, and gives medium, small and micro enterprises (MSMEs) the right to use benefits and preferences intended only for them. Particular attention is paid to the analysis of the creation of a qualification assessment system for innovative SMEs of various types. The development of a rational model of quantitative and qualitative parameters for identifying enterprises enables the state to effectively apply various tools and methods for monitoring, supporting and stimulating the activities of SMEs at various stages of the country’s modernization.

China, SME classification standards, innovation, modernization, 3d Plenary Session of the 20th CPC Central Committee